WRONGFUL TERMINATION DEMAND LETTER
Illinois Law
[ATTORNEY/FIRM LETTERHEAD]
[Firm Name]
[Address Line 1]
[City, State ZIP]
Tel: [Phone Number]
Fax: [Fax Number]
[Attorney Email]
[Illinois ARDC Registration No.]
VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED
AND VIA EMAIL TO: [recipient_email]
[Date]
[Employer Contact Name]
[Title]
[Company Legal Name]
[Company Address]
[City, State ZIP]
Re: Wrongful Termination of [Client Full Name]
Former Position: [Job Title]
Dates of Employment: [Start Date] through [Termination Date]
CONFIDENTIAL SETTLEMENT COMMUNICATION - ILL. R. EVID. 408
Dear [Mr./Ms./Mx. Last Name]:
This firm represents [Client Full Name] ("our client") regarding [his/her/their] wrongful termination from employment with [Company Legal Name] ("[Company Short Name]") on [Termination Date]. Please direct all further communications to our office.
We write to demand immediate action to remedy the unlawful termination and to resolve this matter short of litigation. [Company Short Name]'s termination of our client violates Illinois law and exposes the Company to substantial liability.
I. ILLINOIS EMPLOYMENT LAW FRAMEWORK
A. At-Will Employment and Its Exceptions
Illinois follows the employment-at-will doctrine. See Barr v. Kelso-Burnett Co., 106 Ill. 2d 520, 478 N.E.2d 1354 (1985). However, Illinois courts recognize important exceptions:
1. Public Policy Exception (Retaliatory Discharge Tort)
Illinois recognizes the tort of retaliatory discharge. See Palmateer v. International Harvester Co., 85 Ill. 2d 124, 421 N.E.2d 876 (1981); Kelsay v. Motorola, Inc., 74 Ill. 2d 172, 384 N.E.2d 353 (1978).
Protected activities under Illinois public policy include:
- Filing workers' compensation claims (Kelsay)
- Reporting criminal conduct to law enforcement (Palmateer)
- Refusing to violate a law or regulation
- Exercising statutory rights
- Reporting violations of law internally or to authorities
2. Implied Contract Exception (Limited)
Illinois recognizes implied contracts in limited circumstances, though courts are cautious. See Duldulao v. St. Mary of Nazareth Hosp. Ctr., 115 Ill. 2d 482, 505 N.E.2d 314 (1987).
3. Statutory Protections
Illinois provides extensive statutory protections:
- Illinois Human Rights Act (IHRA): 775 ILCS 5/1-101 et seq.
- Illinois Whistleblower Act: 740 ILCS 174/1 et seq.
- Workers' Compensation Retaliation: 820 ILCS 305/4(h)
- Illinois Wage Payment and Collection Act: 820 ILCS 115/14
- Victims' Economic Security and Safety Act (VESSA): 820 ILCS 180/1 et seq.
- Illinois Family Military Leave Act: 820 ILCS 151/1 et seq.
B. Illinois Administrative Procedures
Illinois Department of Human Rights (IDHR):
- File within 300 days of alleged discriminatory act
- IDHR investigates and issues determination
- Dual-filing with EEOC available
- Right to request release to circuit court after 60 days
II. FACTUAL BACKGROUND
A. Employment History
[Client Full Name] was employed by [Company Short Name] from [Start Date] through [Termination Date] as a [Job Title] in [City], Illinois.
Employment Summary:
| Category | Details |
|---|---|
| Start Date | [Date] |
| Final Position | [Title] |
| Final Salary | $[Amount] per [year/hour] |
| Supervisor | [Name, Title] |
| Work Location | [Address] |
| Termination Date | [Date] |
Our client was a dedicated employee with an excellent performance record:
- [Describe positive performance history]
- [Describe promotions, raises, commendations]
- [Describe any relevant achievements]
B. The Protected Activity / Triggering Event
On or about [Date], our client [describe protected activity]:
- Filed a workers' compensation claim under 820 ILCS 305/4(h)
- Reported illegal or unethical conduct under the Illinois Whistleblower Act
- Refused to participate in illegal activity
- Filed a discrimination complaint with IDHR
- Reported violations of law to authorities
- Exercised rights under VESSA
- [Other protected activity]
C. The Wrongful Termination
On [Termination Date], [Company Short Name] terminated our client, purportedly for [stated reason]. This stated reason is pretextual, as evidenced by:
- Temporal proximity: The termination occurred just [X days/weeks] after the protected activity
- Prior positive treatment: Our client had [no prior discipline / positive reviews / recent promotion]
- Disparate treatment: Similarly situated employees who did not engage in protected activity were [not terminated / treated more favorably]
- Shifting explanations: [Describe any inconsistent reasons given]
- Direct evidence: [Describe any statements indicating true motive]
III. LEGAL CLAIMS UNDER ILLINOIS LAW
A. Retaliatory Discharge (Common Law Tort)
Under Palmateer v. International Harvester Co., 85 Ill. 2d 124, 421 N.E.2d 876 (1981), Illinois recognizes the tort of retaliatory discharge when termination:
1. Violates a clearly mandated public policy, or
2. Is in retaliation for exercising a protected right
Elements of Claim:
1. Plaintiff was discharged from employment
2. Discharge was in retaliation for employee's activities
3. The discharge violates a clear mandate of public policy
Public Policy Violated: [Company Short Name] terminated our client for [describe conduct that violated public policy], which violates [cite specific Illinois statute, regulation, or case law].
See also Kelsay v. Motorola, Inc., 74 Ill. 2d 172, 384 N.E.2d 353 (1978); Fellhauer v. City of Geneva, 142 Ill. 2d 495, 568 N.E.2d 870 (1991).
B. Illinois Whistleblower Act (740 ILCS 174/1 et seq.)
The Illinois Whistleblower Act provides:
"An employer may not retaliate against an employee for disclosing information to a government or law enforcement agency, where the employee has reasonable cause to believe that the information discloses a violation of a State or federal law, rule, or regulation." 740 ILCS 174/15.
Our client reported [describe report of violation] on [Date]. [Company Short Name] terminated our client in retaliation for this protected whistleblowing activity.
Remedies under 740 ILCS 174/30:
- Reinstatement to former position
- Back pay with interest
- Actual damages
- Reasonable attorney's fees and costs
- Injunctive relief
C. Workers' Compensation Retaliation (820 ILCS 305/4(h))
[If applicable:] Illinois Workers' Compensation Act Section 4(h) provides:
"It shall be unlawful for any employer... to discharge or to threaten to discharge... any employee because of the exercise of his or her rights or remedies granted to him or her by this Act."
Our client filed a workers' compensation claim on [Date] for [injury]. [Company Short Name] terminated our client in retaliation for exercising this statutory right.
Remedies include:
- Lost wages
- Reinstatement
- Attorney's fees
- Punitive damages in egregious cases (Kelsay v. Motorola)
D. Violation of Illinois Human Rights Act (775 ILCS 5/1-101 et seq.)
[If applicable:] [Company Short Name]'s termination of our client constitutes unlawful [discrimination/retaliation] under the IHRA based on [protected characteristic/protected activity].
The IHRA prohibits discrimination based on:
- Race, color, religion, national origin, ancestry
- Sex, sexual orientation, gender identity
- Age (40 and over), disability, marital status
- Military status, unfavorable military discharge
- Order of protection status
- Pregnancy, citizenship status, work authorization status
- Arrest record, conviction record (with limitations)
IHRA Remedies (775 ILCS 5/8A-104):
- Compensatory damages (uncapped)
- Punitive damages (uncapped)
- Attorney's fees and costs
- Injunctive relief
E. Breach of Implied Contract
[If applicable:] [Company Short Name]'s Employee Handbook and representations created an implied contract limiting termination to "just cause" and/or requiring specific progressive discipline procedures.
Evidence of implied contract:
- Employee Handbook provisions stating [quote relevant language]
- Personnel policies requiring [describe procedures]
- Oral representations by [Name] that [describe assurances]
See Duldulao v. St. Mary of Nazareth Hosp. Ctr., 115 Ill. 2d 482, 505 N.E.2d 314 (1987).
IV. DAMAGES
A. Economic Damages
1. Back Pay
| Category | Calculation | Amount |
|---|---|---|
| Lost base salary | $[Annual] x [months] / 12 | $[Amount] |
| Lost overtime | [Calculation] | $[Amount] |
| Lost bonuses | [Calculation] | $[Amount] |
| Subtotal | $[Amount] |
2. Lost Benefits
| Benefit | Monthly Value | Months | Amount |
|---|---|---|---|
| Health insurance | $[Amount] | [X] | $[Amount] |
| 401(k) match | $[Amount] | [X] | $[Amount] |
| Other benefits | $[Amount] | [X] | $[Amount] |
| Subtotal | $[Amount] |
3. Front Pay
| Category | Calculation | Amount |
|---|---|---|
| Future lost wages | [X years] x $[salary] | $[Amount] |
| Future lost benefits | [Calculation] | $[Amount] |
| Subtotal | $[Amount] |
B. Compensatory Damages (Non-Economic)
Our client has suffered severe emotional distress:
- [Describe anxiety, depression, humiliation]
- [Describe impact on health and relationships]
- [Describe medical treatment sought]
Emotional distress damages: $[Amount]
C. Punitive Damages
[Company Short Name]'s conduct was willful, wanton, and in reckless disregard of our client's rights, warranting punitive damages.
Under Illinois law, punitive damages are available for retaliatory discharge in egregious cases. See Kelsay v. Motorola, Inc., 74 Ill. 2d 172, 384 N.E.2d 353 (1978).
Note: Illinois has no caps on punitive damages under the IHRA.
D. Attorney's Fees
Under 740 ILCS 174/30 (Whistleblower Act) and 775 ILCS 5/8A-104 (IHRA), our client is entitled to reasonable attorney's fees.
Estimated fees through trial: $[Amount]
E. Summary of Damages
| Category | Amount |
|---|---|
| Back Pay | $[Amount] |
| Lost Benefits | $[Amount] |
| Front Pay | $[Amount] |
| Emotional Distress | $[Amount] |
| Punitive Damages | $[Amount] |
| Attorney's Fees | $[Amount] |
| TOTAL | $[Amount] |
V. SETTLEMENT DEMAND
We demand that [Company Short Name] pay $[Settlement Demand Amount] in full settlement of all claims.
Additional Terms:
- Neutral reference (dates and position only)
- No contest to unemployment benefits
- Expungement of personnel file
- Mutual non-disparagement
- Confidentiality (terms to be negotiated)
VI. RESPONSE DEADLINE
Please respond within fourteen (14) calendar days, no later than [Response Deadline Date].
If we do not receive a satisfactory response, we are authorized to file suit in the [Circuit Court of [County] County, Illinois / United States District Court for the [Northern/Central/Southern] District of Illinois] without further notice.
Causes of Action:
1. Retaliatory Discharge (Common Law)
2. Violation of Illinois Whistleblower Act (740 ILCS 174/1 et seq.)
3. Violation of 820 ILCS 305/4(h) (Workers' Compensation Retaliation)
4. Violation of Illinois Human Rights Act (775 ILCS 5/1-101 et seq.)
5. Breach of Implied Contract
VII. DOCUMENT PRESERVATION
Immediately implement a litigation hold to preserve all relevant documents and ESI regarding our client's employment, performance, and termination.
VIII. CONFIDENTIALITY
This letter is protected by Illinois Rule of Evidence 408 and constitutes a confidential settlement communication.
Sincerely,
[Attorney Name]
[Title]
[Firm Name]
[Illinois ARDC Registration No.]
Enclosures:
- Authorization to Represent
cc: [Client Name]
[File]
ILLINOIS-SPECIFIC PRACTICE NOTES (Do Not Include in Final Letter)
Key Illinois Considerations
- Illinois recognizes retaliatory discharge tort under Palmateer and Kelsay
- IHRA provides uncapped compensatory and punitive damages
- 300-day filing deadline with IDHR (same as EEOC deferral deadline)
- Illinois Whistleblower Act covers reports to government/law enforcement
- Workers' compensation retaliation is a strong claim with potential punitive damages
- Implied contract claims are viable but courts are cautious
- Arrest record discrimination is prohibited under IHRA (with exceptions)
- VESSA provides protections for victims of domestic/sexual violence
Venue Options
- Illinois Circuit Court (general jurisdiction)
- Illinois Human Rights Commission (administrative)
- Federal Court (if federal claims or diversity jurisdiction)
Statute of Limitations
| Claim | SOL | Citation |
|---|---|---|
| IHRA (IDHR filing) | 300 days | 775 ILCS 5/7A-102 |
| Whistleblower Act | 1 year | 740 ILCS 174/25 |
| WC Retaliation | 2 years (implied) | Case law |
| Retaliatory Discharge | 2 years | Case law |
| Contract (written) | 10 years | 735 ILCS 5/13-206 |
| Contract (oral) | 5 years | 735 ILCS 5/13-205 |
| Tort | 2 years | 735 ILCS 5/13-202 |
Key Illinois Cases
- Palmateer v. International Harvester Co., 85 Ill. 2d 124, 421 N.E.2d 876 (1981)
- Kelsay v. Motorola, Inc., 74 Ill. 2d 172, 384 N.E.2d 353 (1978)
- Fellhauer v. City of Geneva, 142 Ill. 2d 495, 568 N.E.2d 870 (1991)
- Duldulao v. St. Mary of Nazareth Hosp. Ctr., 115 Ill. 2d 482, 505 N.E.2d 314 (1987)
- Barr v. Kelso-Burnett Co., 106 Ill. 2d 520, 478 N.E.2d 1354 (1985)